The dispute between Callery and Evans City regarding sewer service has been partially settled, but the two sides will still sit down with a mediator.

At issue is paying bills worth thousands of dollars.

Phillip Lope, the Evans City Sewer and Water Authority’s solicitor, said the authority in October filed suit against Callery in Butler County court because the borough had not paid its sewer bills since July.

But because the authority needed immediate attention in the matter, Lope asked Judge Michael Yeager for a meeting.

The authority and Callery officials met with Yeager in December when Lope said the judge ruled that Callery make a $36,000 payment toward the $59,000 owed to the authority. Yeager also said Callery must pay $6,000 per month until the amount is paid off.

“So that will give us $42,000 by the 15th of January,” Lope said.

Callery Councilman Ed Conway said the borough began being billed by the authority in July, but Callery’s sewer agreement is with Evans City borough. Because of that, Callery officials don’t think Callery should pay the authority.

The authority was formed in 2012 after years of borough control of the Evans City sewer system.

The authority was formed because Evans City was unable to borrow the $10 million needed to build the new sewer plant that the state Department of Environmental Protection mandated be built. That project is almost ready to start construction.

Conway also disputes the increases that authority officials proposed in the summer that would have Callery residents paying more than $100 per month for sewage while Evans City residents would pay about $48 a month.

Conway said the authority bills Callery monthly for sewer service, then Callery officials bill residents. He said due to rate increases, authority officials will now charge Callery about $170,000 annually as opposed to the $60,000 charged in recent years.

He said authority officials have said they can increase costs in accordance with the 1988 agreement between the two entities.

“But we don’t have an agreement with (the authority),” Conway said. “Our agreement is with Evans City Borough.”

So that is the matter the mediator will decide, Lope said.

He said the difference in billing is due to the existing disparity and that Callery’s and Evans City’s fees were raised by the same percentage.

Conway has said in the past that Callery officials would like to be removed from their contract for sewer service with Evans City, and connect to the Breakneck Creek Regional Authority. That plant is near Callery on Mars-Evans City Road.

A mediator has not yet been chosen for the matter.